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Policy Networks, Elections, and State Subsidies1

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  • Nikolaos Zahariadis

Abstract

What are the effects of electoral competition on the disbursement of state subsidies in industrialized democracies? I argue that the scope of subsidies, which ranges from economy‐wide to regional and industry‐specific subsidies, is determined by the extent of political (electoral) monopoly conditioned by economic threats from foreign competition. The mechanism through which electoral competition is linked to subsidies is the policy network. I assess this argument by examining thirteen Organization for Economic Cooperation and Development (OECD) countries in the period 1990–1993. The findings offer amendments to models of policy networks and speak to the importance of domestic institutions on factor mobility and trade policy.

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  • Nikolaos Zahariadis, 2005. "Policy Networks, Elections, and State Subsidies1," Review of Policy Research, Policy Studies Organization, vol. 22(2), pages 115-131, March.
    • Handle: RePEc:bla:revpol:v:22:y:2005:i:2:p:115-131
    DOI: 10.1111/j.1541-1338.2005.00124.x
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    Cited by:

    1. Nikolaos Zahariadis, 2007. "Subsidising Europe’s Industry: is Greece the exception?," GreeSE – Hellenic Observatory Papers on Greece and Southeast Europe 03, Hellenic Observatory, LSE.
    2. Marco Schito, 2021. "A Sectoral Approach to the Politics of State Aid in the European Union: an Analysis of the European Automotive Industry," Journal of Industry, Competition and Trade, Springer, vol. 21(1), pages 1-31, March.
    3. Nikolaos Zahariadis, 2010. "State Aid and Partisan Government in the European Union," Social Science Quarterly, Southwestern Social Science Association, vol. 91(2), pages 436-454, June.

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